http://www.booz.com Finance RSS feed from Booz & Company. Tue, 07 Feb 2012 22:33:32 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/50029474?gko=c6e01 For most large telecom operators in developed markets, profitability growth has stalled, and in most cases turned negative. In order to reverse this trend, operators must pursue a balanced, holistic program for restoring profitability that is designed to make gains on both the revenue and the cost sides of the equation. Booz & Company's cash flow improvement framework, out¬lined in this Perspective, is just such a program. Reitenspiess, Martin; Rischard, Christopher; Trimmel, Dieter; Troesch, Florian Mon, 12 Dec 2011 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/50029474?gko=c6e01 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49953075?gko=43985 New startup companies have long been an important driver of innovation and economic growth in the U.S., and few of them would have grown to maturity without early-stage financing. This study, based on a survey of almost 200 angel investors and interviews with 20 prominent venture capitalists, analyzes the extent to which this financing might be affected by the copyright regulatory environment. Ahmed, Tashfeen; Le Merle, Matthew; Pencavel, Christopher; Sarma, Raju Tue, 15 Nov 2011 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49953075?gko=43985 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49779196?gko=17761 The steady decrease in U.S. Department of Defense (DoD) investment spending will continue for the foreseeable future. To better compete in this new environment, traditional companies should look beyond simple cost-cutting measures to a more comprehensive "next-generation affordability" approach that transforms cost structures and refocuses capabilities on the new market requirements. Adams, Jim; Beckey, Steve; Martin, Joseph; Brukardt, Ryan Mon, 19 Sep 2011 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49779196?gko=17761 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49691207?gko=7849f Energy projects tend to be big, complicated, expensive, and risky. As such, they are often pursued through joint ventures and other multi-owner entities. Partners can dramatically improve success with joint ventures by: developing a shared understanding of strategic intent; assessing the capabilities and roles of all entities; and designing and effective governance and decision-making model. Dann, Christopher Thu, 18 Aug 2011 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49691207?gko=7849f http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49655543?gko=a4b96 Traditional defense manufacturers are facing a period of change that, if poorly navigated, could severely cripple their competitiveness and even threaten their very existence. Success in today's defense market will require (1) under¬standing and investing in new capabilities; (2) attacking structural costs; and (3) advancing systemic processes. Dustman, Eric; Hughes, Thornton; Martin, Joseph; VanHorn, David Fri, 05 Aug 2011 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49655543?gko=a4b96 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49655545?gko=e5169 Rising costs are forcing the entire U.S. healthcare industry to find ways to unlock and enhance medical value by delivering higher-quality, more affordable care to empowered and engaged consumers. This Perspective outlines three models--population care, healthcare products, and focused transformation--that address the issue of reclaiming lost medical value in a comprehensive and sustainable way. Ahlquist, Gary; Saxena, Sanjay; Spencer, Brett; Gopalka, Abhishek Fri, 05 Aug 2011 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49655545?gko=e5169 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49691205?gko=492c7 To assist health plans as they consider and pursue ACOs, Booz & Company conducted extensive primary and secondary research, proprietary economic modeling, and in-depth interviews with academic experts, external vendors, and senior executives of payors and providers. This Perspective reports Booz & Company's findings on the emerging ACO landscape. Ahlquist, Gary; Saxena, Sanjay; Spencer, Brett Tue, 15 Mar 2011 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49691205?gko=492c7 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49047955?gko=28059 Booz & Company conducted a survey of more than 60 finance ministers and other economic thought leaders to understand how ministries of finance can grapple with their new slate of responsibilities. Azour, Jihad; Burns, Peter; Maroun, Nabih; Najjar, Mazen Ramsay Mon, 31 Jan 2011 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/49047955?gko=28059 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/48458830?gko=0b95c In this Perspective, we offer 10 important lessons--derived from successful e-government programs around the world--that can serve as an implementation guide for a positive outcome. Bernnat, Rainer; Johnstone-Burt, Andrew; Thomé, Frank; Zink, Wolfgang Thu, 05 Aug 2010 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/48458830?gko=0b95c http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/47987651?gko=1a57d During the trough of the financial downturn, many companies took refuge under the protective shield of their governments. Thereby, the two decisive questions are yet to be answered: 1.) To which extent is a government capable of successfully (re-)positioning a financially stricken company in the market? And 2.) Can a government be an effective turnaround-manager beyond its regulative power? This viewpoint introduces an innovative investment strategy, that enables public authorities to flexibly react to modified requirements, while - at the same time - remain focused on public welfare. Bach, Olaf; Bernnat, Rainer; Zink, Wolfgang; von Lichem, Elisabeth Wed, 19 May 2010 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/47987651?gko=1a57d http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/46776438?gko=cca21 The robust economic growth of the past five years allowed many Saudi companies to chase the top line while ignoring critical aspects of their cash flow and balance sheet. As executives now prepare for an eventual economic recovery, they should free up cash by improving the management of their working capital, calibrating their asset base, and rightsizing their capital structure. Khalil, Ihab; Vayanos, Peter; Youssef, Ahmed Mon, 28 Sep 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/46776438?gko=cca21 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/46064864?gko=2a2d3 In the Middle East and North Africa (MENA) region, as elsewhere, the economic crisis is changing the way that companies do business. For the CFOs of MENA-based companies, it is causing an evolution in their roles. In a survey of regional CFOs, we found that their major priorities involve leading their organizations through the economic crisis while capturing potential growth. In this regard, they should actively manage the balance sheet, while providing input regarding the development and implementation of corporate strategy. To accomplish their goals, CFOs must swiftly develop their agenda, focusing on four key themes: extracting value from current operations; regularly assessing and assuring the enterprise's financial health; managing the corporate portfolio; and securing optimal funding sources. Raad, Hadi; Sabbagh, Karim; Smayra, Chady Tue, 07 Jul 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/46064864?gko=2a2d3 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45907964?gko=117a2 M&A activity in the oil and gas sector is on the upswing, and we expect sell-side pressures to result in even more activity in the months to come. We see primarily three types of deals taking place: major oil companies pursuing growth options; independents divesting assets in order to focus capital spend­ing on core assets; and companies combining for survival. This Perspective examines each deal type and presents six key questions senior energy leaders who are evaluating their M&A options should be asking. Click, Christopher; Pettit, Justin; Steinhubl, Andrew Thu, 18 Jun 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45907964?gko=117a2 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45879117?gko=f0406 The credit market collapse of 2008 and subsequent global recession triggered a free fall in oil and gas prices. Together, these conditions devastated the market valuations of many oil and gas companies. They also upended many of the assumptions that have governed the financial strategies of these companies. Chief financial officers in the oil and gas industry need to rethink their strategic finance agenda, altering and adapting some of the practices they have pursued in the past and fundamentally changing the way they approach others. CFOs should undertake six action items described in this Perspective aimed at preserving and improving their companies' competitive outlooks. Pettit, Justin; Steinhubl, Andrew; Vanags, Alejandro Fri, 12 Jun 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45879117?gko=f0406 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45878097?gko=8b709 To manage the risks associated with unconventional gas development projects, many companies employed a variety of hedging programs. Although these hedging initiatives were intended to maintain capital stability in long-term projects, many upstream companies have felt compelled to curtail their capital programs in the face of the collapse in energy commodity prices. A more effective alternative for these companies would have been to implement a hedging program directed at the needs of the capital program and not at the underlying commodity that would later be produced. Such hedging of targeted risks in capital projects can reduce margin volatility of project returns and help provide stability in volatile price and constrained capital environments. Pettit, Justin; Steinhubl, Andrew; Uffhausen, Mark; Corrigan, John Thu, 11 Jun 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45878097?gko=8b709 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45712500?gko=828cf Kuwaiti investment companies have been disproportionately hurt by the downturn in global markets, mainly because of a highly fragmented portfolio and a strong reliance on financing in instances where their cash flow is limited. This has left them vulnerable as lenders have retreated and restricted access to new debt. To recover, investment companies have to adapt to these conditions and make significant changes--both in their portfolios and in their approaches to financing. Vayanos, Peter; Youssef, Ahmed Tue, 12 May 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45712500?gko=828cf http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45281220?gko=5bf43 CFOs face three critical challenges in this recession. They must ensure that their companies have the liquidity needed to fund operations and investment; prepare their companies for oncoming icebergs; and position their companies for a better future. Those who can simultaneously manage chaos, mitigate risks, and identify and capitalize on opportunities will lead their companies to tremendous gains. Doshi, Viren; Mattern, Klaus; Pettit, Justin Mon, 13 Apr 2009 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/45281220?gko=5bf43 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/44206120?gko=68157 As the mood in corporate India grows more somber by the day, leaders' attention has turned from determining how to deploy surplus cash to finding enough cash to keep the business going. Booz & Company recently studied the balance sheets of about 80 leading companies in India in a number of industries and found that companies became complacent about managing working capital during the boom period of 2005-08 and are now sitting on a major problem (or opportunity) in the form of cash tied up in inventory and receivables. The gap between the best and worst performers in each industry suggests that this is a good time for some companies to get their finances in order so they can deal with the downturn and prepare for the upturn. This Perspective distills the best practices for each dimension of working capital management--managing inventory, receivables, and payables--that can separate the winners from the losers. Doshi, Piyush; Sengupta, Suvojoy Fri, 20 Feb 2009 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/44206120?gko=68157 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/44027754?gko=72253 The price for corporate credit today--especially for companies with lower credit ratings-- is approaching the peaks reached in the worst years of the Great Depression. In consequence, the total enterprise values of companies have plummeted, to less than half of what they were just a year ago. In this new and unfamiliar world, chief financial officers need to fundamentally rethink their strategic finance agenda. We have identified six action items that corporate finance departments should pursue to preserve and improve their competitive outlook. Pettit, Justin Mon, 02 Feb 2009 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/44027754?gko=72253 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/43477821?gko=7854e Whether the goal is to win market share or merely to survive the economic spiral, companies must build sustainable cash positions. This demands a fundamentally different and comprehensive approach to accounts receivable (AR) management, one that looks across the entire order-to-cash process to root out payment problems early on and design flexible solutions that release more cash and permanently lower AR. Doshi, Viren; Narayanan, Krishnan; Thakur, Satyajeet; Verity, Richard Mon, 12 Jan 2009 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/43477821?gko=7854e http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902088?gko=78870 Understanding the lessons from the U.S. subprime crisis can support the continued development of the Chinese economy. In doing so, financial institutions and regulators can better meet the financing needs of Chinese individuals and companies. Cainey, Andrew Thu, 01 May 2008 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902088?gko=78870 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902112?gko=fb65c Despite technological advances over the past ten years, paper-based tickets are still reality in public transport outside the airline world. Regardless of potential benefits for public transport operators and missed opportunities for customer service improvements, eTicketing has not yet been able to live up to its expectations. But now, with the next generation of eTicketing, a break-through is near that will take customer convenience to the next level. Kreft, Christian; Schneiderbauer, Dieter; Stroh, Stefan Thu, 01 Nov 2007 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902112?gko=fb65c http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901904?gko=51ec3 Traditional cost-cutting programs only address an organization's structure and overlook the other aspects of Org DNA that affect costs: decision rights, information flows, and motivators. Ericksen, Matthew; Powers, Elizabeth; Ribeiro, Frank Tue, 03 Apr 2007 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901904?gko=51ec3 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901740?gko=2a9d9 As the oil and gas industry's capital expenditures have soared in recent years, its risk has increased and its management of capital must become more stringent. McKenna, Matthew; Wilczynski, Herve Wed, 01 Mar 2006 00:00:00 -0600 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901740?gko=2a9d9 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901924?gko=60394 It's planning time again. For most, this is a painful exercise. In the worst cases, the resulting plan is more aspiration than inspiration. Unrealistic sales targets, sandbagged expense budgets, and other hopes are forged into next year's roadmap. Stacks of reports and terabytes of data are generated but often ignored during interminable planning meetings. After all that, the plan is forgotten in a few months. Do any of these aspects sound familiar? Heinz, Irmgard; Kerins, Jason; McNeese, Cynthia Mon, 18 Oct 2004 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41901924?gko=60394 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902110?gko=4d9b7 The business process reengineering approach popular in the mid- to late-'90s may have delivered on the initial cost reduction front, but it is ill-equipped to evolve with new market requirements. Neilson, Gary; Saddi, Joe Sat, 11 Oct 2003 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902110?gko=4d9b7 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902114?gko=3f474 The Big Three European network carriers have realized a wide range of productivity gains in recent years. To ensure their survival, small and midsize airlines need to adopt a holistic approach--one that encompasses portfolio and governance adjustments, operational as well as financial restructuring, and stakeholder alignment. Ringbeck, Jürgen; Schneiderbauer, Dieter Sun, 01 Jul 2001 00:00:00 -0500 http://www.booz.com/global/home/what_we_think/reports_and_white_papers/ic-display/41902114?gko=3f474